1. Opening Hook
Copper prices went to the gym, skipped leg day, and bulked only the top line.
Meanwhile, margins quietly stepped back, saying, “you go first.”
Polycab’s Q3 FY26 concall was less about whether demand exists and more about how fast management can pass on copper inflation without scaring distributors into hiding.
Between a 46% revenue jump, record PAT, and a deliberate margin haircut, this was a quarter where growth wore running shoes and profitability chose flip-flops.
Management sounded confident, almost smug, about market share gains — while politely asking analysts to wait till peers report before celebrating too hard.
Stick around. The real spice lies in staggered price hikes, wires pre-stocking drama, and why management is perfectly okay sacrificing margins today to own the market tomorrow.
Things get more interesting as we go. 😏
2. At a Glance
- Revenue up 46% – Growth so fast even copper struggled to keep up.
- Domestic W&C volume up ~40% – Demand real, stocking also very real.
- EBITDA margin at 12.7% – Would’ve been 13% if labour laws behaved.
- PAT up 36% YoY – Highest-ever Q3 profit, despite margin sulking.
- Net cash ₹30.3 bn – Balance sheet still flexing calmly.
- Working capital at 27 days – Inventory binge justified as “Q4 prep.”
3. Management’s Key Commentary
“We delivered 46% YoY growth in consolidated revenues.”
(Translation: Growth is no longer a
problem statement 😏)
“Domestic W&C volumes grew nearly 40%.”
(Translation: This isn’t just price inflation doing the heavy lifting)
“Copper prices rose ~21% QoQ in rupee terms.”
(Translation: Margins were mugged in broad daylight)
“We chose to pass on prices in a staggered manner.”
(Translation: We value market share more than short-term comfort)
“Institutional sales outpaced channel sales this quarter.”
(Translation: Lower margin mix, but higher conviction orders)
“Exports were impacted due to US tariffs.”
(Translation: Uncle Sam is still moody 😒)
“FMEG is profitable for the fourth consecutive quarter.”
(Translation: This side hustle is finally paying rent)
“Solar grew more than 2x YoY.”
(Translation: Government incentives doing God’s work ☀️)
4. Numbers Decoded
| Metric | Q3 FY26 | What It Really Means |
|---|---|---|
| Revenue Growth | +46% YoY | Volume + price + aggression |
| EBITDA Margin | 12.7% | Hit by copper + mix |
| Adjusted EBITDA | ~13% | Labour code was the villain |
| PAT | ₹6.3 bn | Record Q3, despite margin noise |
| Net Cash | ₹30.3 bn | Ammo ready for expansion |
| Capex (9M) | ₹10.9 bn | Project Spring on schedule |
Short version: growth
